Home » Amazon pays $ 62 million for tip embezzlement

Amazon pays $ 62 million for tip embezzlement

by alex

The giant corporation is said to have not paid delivery truck drivers full salaries for a long time, they are now to be compensated.

The US online retailer Amazon pays 61.7 million dollars (around 51 million euros) in a settlement because of the allegation of withholding tips. The American consumer protection agency FTC announced on Tuesday that the group had not paid delivery drivers their agreed remuneration in full for a period of two and a half years.

Amazon deliberately left the employees in the dark, the authority said. Only after the group learned of investigations by the supervisors, the practice was discontinued in 2019. FTC leaders Rebecca Kelly Slaughter and Noah Phillips described the company's behavior as outrageous in a statement.

According to the authority, the settlement sum of just under $ 62 million corresponds to the amount that Amazon withheld from drivers of its “Flex” delivery service. The company promised to pay 100 percent tips. However, this no longer happened from the end of 2016, which led to hundreds of complaints.

The Amazon drivers affected are now to be compensated with the settlement amount. The group did not reject the allegations in a statement to the US media in principle, but denied having deceived the drivers with regard to the tip practice. Amazon also emphasized that it pays drivers one of the highest wages in the industry, averaging over $ 25 an hour.

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